Gensler predicts AI investment growth will slow within 18 to 30 months

Former SEC Chair Gary Gensler, now a professor at MIT, warned that the current surge in AI investment is unlikely to persist indefinitely. During an interview with Bloomberg Surveillance, Gensler suggested that a slowdown or reversal in the AI boom could occur within the next 18 to 30 months. He emphasized that the extent of this correction may depend on the level of accumulated debt. Gensler also addressed broader economic concerns, including interest rates, monetary policy, and financial stability. He raised the possibility that the U.S. may have overinvested in AI infrastructure. The discussion took place on 2026-10-27, with Gensler providing insights into the potential future of the AI sector amid evolving economic conditions. Gensler’s remarks highlight the growing scrutiny around the sustainability of AI investment trends. While he acknowledged the transformative potential of AI, he cautioned against overconfidence in its long-term growth. His analysis comes amid ongoing debates about the balance between innovation and financial risk in the tech sector. The interview underscores the intersection of regulatory oversight, economic policy, and technological advancement in shaping the future of AI development.